Question

Use the Internet and/or Strayer Library to research a company other than HP and Wells Fargo that has implemented a balanced scorecard system for evaluating performance. Suggest at least two (2) variance measures the identified company can employ in a balanced scorecard performance evaluation system, and examine how the company can use these variances to improve performance. Examine the main reasons why service companies are more sensitive to labor and price variances, as compared to material price variances, and determine the importance of companies managing these variances in relation to sustaining profitability.

Answer 1

1 companies which are using balanced score card system Apple Philips Electronics Citi Bank Volkwagen Verizon 2 Balanced score card will help to attain the transperency companies can grow their bottom line by looking at other perspectives like people, internal process balanced score card can identify the factors that effect business and outline a strategic change that will bring them better result. Balanced Score card enables companies to break those goals into mesures, the mesures into projects, and the project into action items companies can achive their goals easily Companies can track and consolidate their strategic plans 3 Service industry mainly generating income from services, which is purely labour based if their employees are happy then their customers also companies gives more importance to employee learning and mentoring programs to create necessary talent and human capital pool